Question

What is Strategic Management?

Why is it important? Who is involved? What is meant by competitive advantage?

Answer 1

There are the resources through which the companies achieve its target goals. For an example raw materials are resources, human are resources, fuel are again resources. Etc.

So strategic management is the management of the resources of the companies through which the organizations achieves their goals and objectives.

If I talk about the importance then here is some importance-

It is helpful in setting goals for the companies. As per the resources the objectives and goals are set

The management of the resources to achieve the goals facilitates the company to achieve their goals and objectives more efficiently. The companies can utilize the resources more effectively.

There are some unwanted and unexpected situations arises, The strategic management helps in those scenarios very well. It prepares the company for those situations for those they are not prepared.

Strategic management happens with prices and particular designations are needed for each stage

The CEO and Top Management know about the companies more than the other on the earth. Hence they should be involved in the strategic planning. The middle level management and lower management should also be included. The frontline employees are also having inputs hence they should also be included.

Competitive advantages are the advantage of the company over the competitors which makes the company more preferable than the competitor. Something unique and different attribute which a company has other than the competitors. It may be price, cost, place, customer base etc.